I have written about this topic many times, but it just seems folks don’t get the message. A number of months I got a call from someone that was planning on selling their home without a Realtor and could she give out my card to folks that come to see the home.

We spent about 10 minutes on the phone and during the conversation I recommend that a Realtor marketing the property would be a much better idea. The answer was, there is nothing they can do for me, that I can’t do myself and no one knows my property better than I do.

I told her that she needed to understand, that even though a prospective client would be sent my way, they are my client and not the person that sent them. Her answer was, that is no problem.

Sure enough, a prospective client was sent to me, so I began the pre-qualification process and they qualified just fine. They really didn’t know or understand the process so I discussed the offer process, the home inspection process and the mortgage process. These folks told me that the seller told them a home inspection was not necessary. We spent some time talking about why a home inspection was needed and that seemed to satisfy them.

Within one hour the owner called me, a bit upset, telling me that I may have blown her sale. I asked her why that was, she told me that she had never met an honest home inspector. I wished her luck with the sale of her home, but I would want the client to have a home inspection done as with the loan that was being done, as inspection would be required.

Not sure what will happen from here, but I see all kinds of headaches with the potential home sale. What would you do?

Joe Petrowsky does not guarantee nor is in any way responsible for the accuracy of the information provided herein, and provides said information without warranties of any kind, either expressed or implied.

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Comments

Oy vey. I can't believe she said a home inspection wasn't necessary. I think we know where the issue is.

I would have been tempted, after the person said they never saw a home inspector they could trust nor a realtor they could trust, that I've never seen a FSBO I would trust. But, I wouldn't really say that.

This has happened with my own family.....they all think they are professionals in every field and tried to sell Mickey's house on their own. It took almost five years for it to sell and ultimately it was sold by a Realtor®. It did rent twice before it was sold, but they asked about half of what they could have gotten for rent.

Posted by Roger D. Mucci, Lets shake things up at your home today! (Shaken...with a Twist 216.633.2092) over 2 years ago

Joe, clearly in this forum no one is going to tout the virtues of FSBOs! We see and hear problems all the time from those individuals who think they know everything about real estate. I cringe when I hear that they proudly sold their house themselves...at what I know is $35K less than they should have. Ouch.

Good morning Joe, I can't imagine trying to fix my own car as I am not the expert in that field, instead, I would go to a professional. It is proven that FSBO's do net less than they would have by listing their home with a Realtor® but as you and I both know many become experts when it comes to selling a home only to regret their decision.

There's a FSBO seller-to-be whom I've been watching. He's been fixing up his house now for over a year, all by himself and a handyman occasionally. Now he's painting, possibly covering up the "fixing" that he did. When he's done he plans to sell it for what he thinks it's worth including what he put into it plus HIS time (after all, a contractor would have charged too, right? They charge too much too!). Oh, and he (pretty violently expressed to me) doesn't think he needs a real estate agent either, why should he pay them all that money when he can do it himself? Good luck to the buyer. And I mean that sincerely.

I think you know the answer to your question, Joe Petrowsky ... these buyers are lucky to have you and your expertise at their side, should they proceed with this transaction. Telling prospective buyers they don't need a home inspection is a bright red warning flag ...

The potential buyers are very lucky that the seller referred you Joe Petrowsky. There are so many ways a FSBO can blow up for both sides.

Posted by Nancy Laswick, Your REALTOR® For The Valley Of The Sun (United Real Estate) over 2 years ago

Joe

Your insight is right on point . . . . It takes a more then knowing the home . . . . to create a successful real estate transaction . . . . That expertize is what the real estate profession bring to the table in a real estate transaction.

Today I got a call from a person I sold a home to. I also sold his in laws a home. I am the REALTOR® for this family. I love them and they love me. Today this guy tells me he's buying some land with the owner carrying the note. It's a 300K purchase. The county declined to file their paperwork. He called me for advice. I'm glad I got involved. The seller won't deal with an agent, so my guy never called me until today. I'm glad the county wouldn't file their paperwork. No title work was pulled. I recommended my guy see an attorney to make sure he's covered in this transaction.

Posted by Debbie Laity, Your Real Estate Resource for Delta County, CO (Cedaredge Land Company) over 2 years ago

What a frustrating situation Joe, this person sounds difficult to say the least.

I hate FSBO's... haven't sold but a couple of them in all my years in real estate and they were the most difficult sales before, during, and after! Thanksfully, in Charlotte, 94% of FSBO's end up listing with an agent after a few weeks as they get to understand that they can't do it as well as an agent.

I just don't think FSBO's understand the legal liability they are exposing themselves to by not hiring a Realtor. They do not go through vigorous hours of education to make sure they know exactly what they are doing. Stupid lady.